Bwin.party and Ladbrokes Coral owner GVC Holdings will consider the company’s potential relocation of its place of management and control – and therefore also its tax residence – from the Isle of Man to the United Kingdom.
Jay Dossetter, Head of Media Relations at GVC, said that the move will increase the company’s efficiency by allowing key meetings to be based closer to its largest market.
“The main reasons for making the move is that under the group’s current Articles of Association and tax residency we are unable to hold Board meetings or shareholder meetings within the UK,” Dossetter explained.
“The proposed change will give us the ability to hold full board and board committee meetings in the UK, which will reduce operational complexity and enhance governance, and in turn, will increase efficiency and reduce costs. It also means that future shareholder meetings can be held in the UK.”
Dossetter added that articles of association that located the company’s place of management on the Isle of Man came at a time when GVC was much smaller and long before its 2017 acquisition of Ladbrokes Coral. As a result, he said the move is more fitting with GVC’s place in the gaming market today.
“The previous articles were drafted back in 2010 when the group was a radically different business, these changes reflect where the company is today,” Dossetter said.
Dossetter added that the move would not mean any changes for GVC’s operations.
“The relocation is just for the top holding company and has no impact on staffing or the operational side of the business,” Dossetter said. “It has no impact of our tax bill or the effective tax rate we pay. Operationally, the online business will continue to be run from Gibraltar and the UK retail estate from the UK.”